Dell s Value Chain For The Profitability Of The Company

Introduction This paper will enumerate a brief background of Dell, customer Focus Company that has maximized its value chain for the profitability of the company. This paper will analyze the unique value chain of the company. Furthermore, the paper will evaluate how Dell has used its direct sales and build-to-order model to develop an exceptional supply chain. The main advantages and disadvantages of Dell’s direct sales model will also be analyzed. Also noted is how Dell competes with other retailers that already have stocks in house and how Dell’s supply chain deals with the bullwhip effect. Finally an inferred conclusion is made about the company’s value chain and its role in the company financial status in the market. Identify the business problem that Dell needs to resolve From the case study about dell’s value chain, the company does not seem to have any problems that need to be resolved with regards to its value chain. Identify the relevant background information Dell computer is a customer focus company that has maximized its value chain for the profitability of the company; the company focuses on researching their customers wants, needs, and leverages the research information to enhance the profitability of the company and its suppliers. To this end, Dell uses direct sales business strategy; offering products to customers mainly through the internet. Furthermore, by offering unlimited varieties of their build- to- order desktop, note book and other products, theShow MoreRelatedDell Financial Strategy Analysis812 Words   |  3 PagesDell Financial Analysis Introduction In their latest full fiscal year, Dell Corporation (NASDAQ: DELL) generated global revenues of $62B, earning a Net Income of $3.4B. 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